Cardholder Clusters
OwnerRyan Jolleyinventor
Life of this patent
Estimating the term…
Abstract
A system and method of using transaction data for a population of account holders, such as credit card holders, is described. A frequency distribution input variable (Frd) and average amount distribution input variable (Avd) are calculated for each account and each merchant category. The Frd and Avd, either alone or in conjunction with each other, are used to assign accounts to clusters as well as calculate factors for factor analysis. The assigned cluster and calculated factors for each account are both used for further processing, such for as selecting accounts to which advertising materials will be sent or determining a surrogate account for a control group.
Claims20
A computer-implemented method of using transaction data for a population of account holders having accounts, the method comprising:
- a) receiving a frequency distribution input variable (Frd) for each account in each merchant identifier based on the transaction data;
- b) receiving an average amount distribution input variable (Avd) for each account in each merchant identifier based on the transaction data;
- c) assigning each account to a statistical cluster using at least one of the frequency distribution input variable Frd and the average amount distribution input variable Avd;
- d) calculating, using a processor, a factor for each account using at least one of the frequency distribution input variable Frd and the average amount distribution input variable Avd;
- and
- e) performing further processing using the cluster and the factor.
A machine-readable tangible medium embodying information indicative of instructions for using one or more machines to perform operations to use transaction data for a population of account holders having accounts, the instructions comprising:
- a) receiving a frequency distribution input variable (Frd) for each account in each merchant identifier based on the transaction data;
- b) receiving an average amount distribution input variable (Avd) for each account in each merchant identifier based on the transaction data;
- c) assigning each account to a statistical cluster using at least one of the frequency distribution input variable Frd and the average amount distribution input variable Avd;
- d) calculating, using a processor, a factor for each account using at least one of the frequency distribution input variable Frd and the average amount distribution input variable Avd;
- and
- e) performing further processing of an account using the cluster and the factor.
Dependencies are inferred from the claim text.